The European Central Bank has cut its growth forecast for the troubled euro area this year, but said there were enough signs of improvement ahead that it did not need to cut interest rates further.

The European Central Bank is offering new emergency loans to banks to help steady a eurozone financial system that is being shaken by uncertainty over the government debt crisis.

The steep global financial crisis risks turning into “a human and development calamity” for many poor countries, the World Bank said as it urged donor nations to speed up delivery of money they have already pledged and consider giving more.

The European Central Bank left interest rates unchanged today amid uncertainty over when the continent’s economy will get going again.